Issue 87: Credit Insurance News Digest

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Welcome to issue 87 of Credit Insurance News Digest. This issue is kindly sponsored by Credit & Business Finance Ltd (CBF).

Index

Credit Insurance News

Trade credit insurers in Asia have had their fingers burnt. StrategicRisk has published an article, 'Insurers suffer as Asian defaults multiply', which reports that payment defaults have risen significantly across Asia. As a result, although interest in credit insurance has increased, the challenges of the Asian market have created difficulties for insurers wanting both to turn a profit and grow their books of business. "Both 2015 and 2016 were not good for most trade credit insurers in Asia", commented Helen Clark, Aon's Head of Trade Credit Risk for Asia. In consequence, credit insurers are now more selective, and the majority of the market is focused on what business they want to take on. To read Strategic Risk's article go to http://edition.pagesuite.com/html5/reader/production/default.aspx?pubname=&edid=4ed9a177-387a-4b27-a29c-b9820c136fbe.

An upsurge in political risk and trade credit insurance. Insurance Journal has published an article. 'Demand rises for Political Risk cover as buyers think the unthinkable', which reports that as result of recent events such as the US election and Brexit, companies are buying more insurance to protect themselves against the threat of rising protectionism and upheaval to their operations in emerging markets. For example, Zurich Insurance notes that new business at its political risk and trade credit unit was up 14% in 2016, while 61% of respondents surveyed by the Berne Union and International Credit Insurance & Surety Association said they saw increasing volumes of new business last year. To read Insurance Journal's article go to http://www.insurancejournal.com/news/international/2017/04/25/448835.htm.

90% of unsecured creditor losses in the UK are uninsured. A new analysis of the last 12 months insolvency data from InfolinkGazette reveals that total annual unpaid/unsecured credit losses continue to run at almost £4 billion, with the average shortfall for creditors in each insolvency standing at over £450,000. Commenting on the analysis, Greg Connell, Managing Director of InfolinkGazette said: "At least half of the of the £80 million in unsecured creditor losses per week can be attributed to ordinary trade creditors, and with the ABI reporting trade credit insurance payments of £4 million per week it seems that 90% of unsecured creditor losses are uninsured." Greg added: “An analysis of the liquidity, gearing and solvency of all the unsecured trade creditors, indicates that 20% of unsecured trade creditors would be placed under considerable financial strain by a further average trade credit loss of £24,000, and would potentially require an injection of capital to avoid insolvency themselves." To read InfolinkGazette's news release go to http://www.infolinkgazette.co.uk/?pid=6.

UK's plummeting retail sales add to signs that the UK economy is faltering. Nexus CIFS has published an interview in which its retail expert, Derryck Blackman, warns that the UK retail sector - a major driver of Britain's economy - is clearly beginning to struggle. During the past three months, British retail sales shrank at the fastest rate in nearly seven years - with recent high profile failures or struggling companies including: Prelude Records, Moda in Pelle, Agent Provocateur, Jones The Bootmaker, Brantano, 99p Stores and Jaeger. Derryck examines the reasons for the current 'retail chaos' and looks at the challenges (new business rates, rising fuel prices, inflation) that will continue to impact the sector. To read Nexus CIFS' interview go to http://www.nexusunderwriting.com/trade-credit/news-and-comment/detail/nexus-cifs-derryck-blackman-interview-april-2017.

Trade credit insurers in Asia need to innovate to reap rewards. StrategicRisk has published an article, 'While Brexit and Trump cause ructions, Asia watches calmly from the sidelines - for now', which reports that the impact of recent economic and political events has yet to affect Asian companies, but trade credit insurers currently face a different challenge from the need to innovate in order to stay ahead of competition. This creates opportunities for risk managers looking to place increasing levels into the trade credit insurance market and benefit from the risk management support they get from their credit insurance partners. The opportunities for credit insurers are also enormous - "market penetration is low, but need is high and increasing every day" - with annual growth of 10-15% predicted in the short-medium term predicted by Helen Clark, Aon's Head of Trade Credit Risk for Asia. To read StrategicRisk's article go to http://edition.pagesuite.com/html5/reader/production/default.aspx?pubname=&edid=4ed9a177-387a-4b27-a29c-b9820c136fbe.

UK SMEs are owed more than £44.5 billion in late payments. Results from the latest Zurich SME Risk Index show that 52% of Britain’s small-and-medium sized enterprises are owed in total an estimated £44.6 billion in late payments. The survey of over 1,000 SME owners and decision makers showed that 21% are owed more than £25,000 and 9% are owed more than £100,000. Of those who have experienced late payments, 64% experience typical delays of more than one month on payments which are already more than 30 days overdue. 45% are subject to payment delays of up to three months on late payments, while 14% typically wait up to six months. 65% of small business owners agree that late payments are leading to SMEs being forced to close down. To read Zurich's news release go to https://www.zurich.co.uk/en/about-us/media-centre/general-insurance-news/2017/smes-owed-more-than-45bn-in-late-payments.

With US banks ever more jittery, seek those with international trade experience. Global Trade has published an article 'De-Risky Business', which examines the current steps that US banks are taking to lower their exposure to risk. In some cases, the article advises that banks have dropped entire portfolios of business, including trade finance, because of the inherent and growing risks involved in those areas. As a result, traditional trade instruments, such as letters of credit, "discredited by some in an era of open terms and for being expensive and cumbersome, have made a resurgence in new guises." In addition, the article advises that more exporters are using trade credit insurance and EXIM Bank programs. To read Global Trade's article go to http://www.globaltrademag.com/banking/de-risky-business.

Rise in global protectionism could stunt economic growth. A new report, 'Our World Transformed: Geopolitical Shocks and Risks', from the Atlantic Council and Zurich Insurance Group examines best-worst-and base-case scenarios for three geopolitical trends and the potential impact for businesses and the world at large, highlighting the risk mitigation solutions for each scenario. The report concludes that a rise in global protectionism stemming from a backlash against free trade and globalisation could have a significant impact on economic growth, poverty levels and the potential for military conflict. It also warns that companies that benefit from global trade may be forced to restructure their supply chains and develop business continuity plans that anticipate disruptions to their manufacturing and retail operations. The full report is available online at https://www.zurichna.com/en/knowledge/topics/geopolitical-risk.

Payment delays and insolvencies predicted to rise in the UK consumer durables retail sector. Despite a relatively robust performance in the British non-food retail sector in 2016, a new economic report by Atradius predicts that payment delays and insolvencies will rise in the UK consumer durables retail sector this year. Growing economic uncertainty, expected to impact consumer spending, and higher import costs are the primary factors behind the deteriorating outlook, and Atradius is warning manufacturers, suppliers and retailers to take extra measures to protect themselves. Overall, UK retail sales growth is expected to slow down to 0.6%, down from 2.5% in 2016. Simon Rockett of Atradius said: “The British retail market remains highly competitive and faces a number of key challenges; increasing costs, changing shopping behaviour and lower consumer spending. Insolvencies are expected to increase slightly along with the rising economic uncertainty and with a probable increase in payment delays.” Click here to read Atradius' press release.

A condensed view of country risk assessments published by Atradius, Coface, Credimundi and Euler Hermes. AU Group has released its latest AU "G Grade" for Q2 2017 to provide an at-a-glance picture of major trends and the levels of risk for 140 countries. The “G Grade” is based on the individual assessment of a country by each of the four main credit insurers, Atradius, Coface, Credimundi and Euler Hermes, but condensed and presented as a single score. This issue notes a deteriorating situation in Africa and especially in: Senegal, Benin and Burkina Faso and Mozambique. In contrast, Argentina, Brazil and Latvia all experienced improvements. To download a copy of AU Group's free report go to http://www.au-group.com/how-to-monitor-country-risks/.

The world economy is in the midst of a broad-based upturn. Atradius' latest Economic Update for May 2016 advises that the world economy is in the midst of a broad-based upturn, with global GDP growth expected to pick up to 2.9% and 3.0% in 2018 buoyed by a strong US economy and recoveries in large emerging markets. Atradius also advises that the 2017 outlook for business insolvencies in the eurozone is relatively positive with a 3% decrease in corporate bankruptcies predicted. Specifically, insolvencies are expected to level off in Germany, Austria and Italy, while the Netherlands is forecast to see only a 3% drop in business failures after several years of double-digit declines. For France, Atradius predicts a 3% decrease due to more business-friendly policies. To read Atradius' report go to https://atradius.us/article/atradius-economic-update---may-2017.html?

A new look, a new logo for Nexus CIFS Ltd. Nexus CIFS has announced that from the beginning of the month it officially changed its branding using the Group Nexus logo. This follows the branding standardisation of all members of the Nexus Group of Companies. As part of this initiative, email addresses have been changed to a @nexusunderwriting.com format and the website URL to http://www.nexusunderwriting.com/trade-credit. For more information go to http://www.nexusunderwriting.com/trade-credit/news-and-comment/detail/a-new-look-a-new-logo-for-nexus-cifs-ltd.

Atradius announces the forthcoming launch of Atradius Atrium - its replacement to Serv@Net. Atradius has announced that following an intensive and lengthy redesign process, its current online tool Serv@Net is set to be replaced by a new online tool, Atradius Atrium. The new tool is, Atradius, advises, based on a 'customer-centric' rather than 'policy-centric' approach and also takes into accounts the slightly different needs of Atradius' business partners. To watch a video about Atradius Atrium go to https://youtu.be/AgL__HCUJGk.

Trade Credit Insurance in Chile. LTR Global's latest paper on the Trade Credit Insurance industry in Chile reports that of the six credit insurers currently operating in Chile (Continental, Coface, HDI, Solunion, Avla, Cesce), Continental dominates the market with a 52% share (57% domestic and 40% export). Coface is the largest player in the export market (with a 44% market share) and is the second largest player overall with a 21% share. HDI and Solunion follow with market shares of 15% and 8% respectively. The total Chilean market is worth US$81,727 million in premium, US$ 58,634 of which relates to domestic business. Solunion has the highest loss ratio at 157%, followed by Continental at 138%. Coface, with 54%, has the lowest loss ratio. Click here to view LTR Global's report.

Japanese corporate bankruptcies fall to the lowest level in sixteen years. Asteos Credit has published an economic overview of Japan in 2017 which reports that there are signs that stability and growth have returned to the Japanese economy. Furthermore, the number of corporate bankruptcies in Japan last year (2016) fell to the lowest level since 1990, while the number of business failures last year with debts of more than 10 million yen (about US$88,000) fell 4.2% from 2015 to 8,446 cases in 2016, marking a year-on-year decrease for the eighth consecutive year. In this economic environment, the sale of trade credit insurance continues to grow, and the main insurers remain: NEXI (Government Trade Credit Export insurer), Mitsui Sumitomo, Tokio Marine Nichido, Sompo, Coface, Euler Hermes, Atradius and Chubb. To read Astreos Credit's news release go to https://www.astreos-credit.com/single-post/2017/04/26/Japan-2017---Economic-Overview.

Coface unveils new CofaNet Essentials. Coface has announced that from 15 May its clients will experience a fully revamped version of CofaNet Essentials, its online management tool for credit insurance. Coface advises that new CofaNet Essentials comes with a new ‘entry-door’ which "will bring enhanced capabilities for digital communication," including: direct login to all Coface applications, targeted news and product documentation in all format (text, audio, video) as well as contact forms. The new project will also be optimised for all mobile devices. For more information (including an explanatory video) about the new revamped service go to http://www.coface.com/News-Publications/News/Coface-digitalizes-the-customer-experience.

Economic uncertainty may be the backdrop, but it is by no means a show-stopper. Credit Strategy has published an article in which Richard Reynolds, deputy head of UK sales at Atradius, comments that almost a year on from the Brexit referendum we are no closer to knowing what a UK outside of the EU will look like. As a result of this and other political and economic events, a sense of uncertainty will define 2017. However, Mr. Reynolds also stresses that there will never be a time that you can trade without risks: "business does not wait for politics and any hesitation will lead to missed opportunities, creating market stagnation and negativity which will ripple throughout the economy." To succeed, firms need to ensure "they step forward with their eyes open" - equipped with the level of knowledge and understanding about their trading partner that will enable them to navigate the risks that they may encounter along the way. To read Credit Strategy's article go to https://www.creditstrategy.co.uk/opinion/the-latest-global-risk-to-manage#provider_moreover?

Credit managers turn to technology to help them make informed choices. According to the Q1 2017 results from the UK’s Credit Managers’ Index (CMI), in the current uncertain global economic environment, 49% of respondents are using intelligence tools to identify risk against a strategy of extending credit terms to encourage growth, and 31% were more vigilant about credit management. Michael Feldwick, Head of UK and Ireland at Tinubu Square agrees: “The current economic climate is very uncertain and credit managers are clearly turning to technology to help them make informed choices based on current intelligence. This helps them not only to have a clear understanding of the actual economic landscape and how it might impact on their business processes, but to build vital agility into their everyday decision-making process." To read CICM's news release go to http://www.cicm.com/manufacturing-hammers-new-highs-uk-business-confidence/.

Malaysia outlook, growth prospects and game changers beyond 2017. Euler Hermes has advised that Malaysia’s stated ambition to become a high-income nation by 2020 will not be easy, but that overall "the stars are now aligning for the export-oriented economy." Global trade value is set to increase by +3.6% in 2017 (-2.4% in 2016), while demand from major trading partners, such as China and the US, is set to remain strong. In addition, GDP growth is set to accelerate slightly to 4.5% in 2017 (from 4.2% in 2016). However, Mahamoud Islam, senior economist for Asia at Euler Hermes-Allianz Research, also warned that expanding horizons comes at the price of being more exposed to external shocks and urged Malaysian companies to step up their due diligence efforts on companies with which they are trading and put in place added financial risk management. To read Euler Hermes' press release go to http://www.eulerhermes.com/mediacenter/news/Pages/press-release-Malaysia-outlook-growth-prospects-and-game-changers-beyond-2017.aspx.

Atradius' Chief Economist is optimistic on US growth. Atradius' Global Chief Economist, John Lorie, has been interviewed by Bloomberg to discuss President Trump's tax reform plans and the outlook for the US economy. He speaks on "Bloomberg Markets: Middle East." To view the clip go to https://www.bloomberg.com/news/videos/2017-04-26/atradius-lorie-is-optimistic-on-u-s-growth-video.

Coming Soon:

Credit Management News Digest

We are hugely excited to announce that we will be launching a new business information service and newsletter, Credit Management News and Credit Management News Digest, next month.

The new Digest will enable us to provide highly tailored newsletters specifically designed for financial directors, credit managers and other professionals with an interest in accessing a range of interesting and pertinent articles in a succinct and easily 'digestible' format. Initially, content will be an expansion of Credit Insurance News Digest's current business information section.

The first four issues of the new Digest will be produced monthly with the first issue available on Wednesday 28 June and thereafter on the last Wednesday of every month.

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New Appointments

Willis Towers Watson has announced that it has recruited Claire Simpson (as Global Claims Director Financial Solutions) and Victoria Padfield (as Executive Director Financial Solutions) to its political risk and trade credit team in London. Both Ms. Simpson and Ms. Padfield previously held underwriting positions with Hiscox; Ms. Simpson as Head of Political Risks and Trade Credit Underwriting, and Ms. Padfield as Credit and Political Risk Underwriter.

Business Information

The UK is still a nation of small shopkeepers. New data released by the Local Data Company (LDC) and the British Independent Retailers Association (bira) shows that traditional independent shops opened more shops than were closed in 2016 in Britain’s top 500 town centres, while the national chains continued to see a fall. Independent shops saw an increase of +159 shops (+0.15%) in 2016 - a +36% increase from 2015 when +117 shops were added across the UK. In 2016, a total of 29,083 independents either opened (14,621) or closed (14,462), compared to 2015 when 29,936 shops opened (15,026) or closed (14,910). Key growth sectors have been barbers, hair & beauty salons, tobacconists/e-cigarette shops, restaurant & bars, and mobile phones shops. Sectors in decline include newsagents, women’s clothing, Indian restaurants and nightclubs. To read a summary of bira's latest report go to https://bira.co.uk/independent-retailers-open-more-shops-2016/.

Are UK small businesses experiencing a 'Brexit payment crunch'? Startups has published an article which reports that, according to a report by Crossflow Payments and YouGov, small businesses are being prevented from accessing £266 billion because suppliers aren’t paying them on time. The survey of 1,031 small business decision makers revealed that 15% of all small firm turnover was subject to late payment in 2016 – with 23% of respondents declaring they don’t normally have their invoices settled on time. Furthermore, it’s suggested that businesses are experiencing a “Brexit payment crunch”, with 10% of those surveyed saying that they have experienced worsened payment terms since the EU referendum last June. To read Startups article go to http://startups.co.uk/businesses-cant-get-their-hands-on-over-266bn-because-their-suppliers-wont-pay-them-on-time/.

Brittelstand beats Mittelstand in race for growth. According to new research published by BDO, the annual turnover growth of UK mid-sized businesses outperforms that of German, French, Spanish and Italian medium-sized firms. The research reveals that UK mid-sized businesses grew their turnover by nearly 4% in the last 12 months to £1.2 trillion, compared to a 1% increase in turnover to £1.4 trillion for the equivalent German firms – the country whose mid-sized businesses generate the most revenue. Meanwhile, Spain’s mid-sized businesses' turnover by 0.63% to £570 million, Italian mid-sized firms saw a contraction in revenue growth of -1% to £911 million and growth for the equivalent businesses in France stayed flat with a contraction of -0.01% to £1 trillion. British mid-sized businesses are also the most profitable across the top five EU economies generating profits of £97 billion (profit growth of 19% in one year) compared to Germany’s £67 billion (up 2%), France’s £62 billion (25%), Italy’s £35 billion (4.7%) and Spain’s £22 billion (a contraction of -10%). To read BDO's news release go to https://www.bdo.co.uk/en-gb/news/2017/brittelstand-beats-mittelstand-in-race-for-growth.

Poor UK High Street figures built on a dismal prior year baseline. New figures released by BDO have indicated that the later Easter holiday failed to inspire UK consumers into a Spring shopping spree and retailers saw April’s like-for-like trading grow just 1.9%. But while April represented the first month of growth this year, it came off an extremely weak base. Furthermore, while non-store sales grew by +15.1% in April, this was the lowest pace of monthly growth seen since September last year. Sophie Michael, Head of Retail and Wholesale at BDO LLP, said: “With Easter falling later, retailers would have been expecting a boost in sales in April, so these poor results will be clearly disappointing.” To read BDO's news release go to https://www.bdo.co.uk/en-gb/news/2017/late-easter-fails-to-egg-on-spending.

3-year high in new orders for SME manufacturers. According to the CBI's latest quarterly SME Trends Survey, the UK’s SME manufacturers reported strong growth in domestic and export orders in the three months to April, but rising costs and prices continue to bite. The survey found that total new orders growth was at a three-year high, driven by solid rises in both domestic and export orders - with the latter growing at the fastest pace since mid-2011. Output growth was also at its highest for six years, and orders and output are expected to strengthen yet further in the coming quarter. As a result, sentiment among SMEs is upbeat and optimism about the business situation rose at its fastest pace in almost three years. However, the weak pound is continuing to stoke inflationary pressure, with SME manufacturers reporting the strongest increases in unit costs and prices in six years. Furthermore, investment plans for the year ahead deteriorated, particularly those for buildings and plant & machinery. To read the CBI's news release go to http://www.cbi.org.uk/news/3-year-high-in-new-orders-for-sme-manufacturers/.

Profit warnings point to a changing balance in the UK economy. EY’s latest Profit Warnings report has reported that UK quoted companies issued 75 profit warnings in the first quarter of 2017 - two more than the previous quarter and one less than the same period of last year. However, EY stresses that this seemingly stable picture masks falling expectations and significant changes beneath the surface that reflect the UK’s changing economic balance. Alan Hudson, EY’s head of restructuring for UK & Ireland, warned: “Increased overheads, political and regulatory change, and digital disruption are piling pressure on sectors with long-standing structural issues, especially in consumer and business services. Periods of rapid change often leave companies behind and the next few years are unlikely to prove an exception.” To read EY's news release go to http://www.ey.com/uk/en/newsroom/news-releases/23-04-17-profit-warnings-point-to-changing-balance-of-the-uk-economy.

Encouraging economic growth in UK and across G7, but productivity levels are still lagging. According to PwC’s latest Global Economy Watch report, real GDP growth in the G7 nations accelerated to 1.7% in the last quarter of 2016, driven by the most consistent growth rates across its members than at any other time in the past 20 years. This improvement has been driven by three key forces: monetary policy (particularly in Europe), fiscal policy and emerging imports. However, PwC analysis also shows that G7 productivity growth rates have been around two-thirds slower post-crisis compared to their historic trend growth rates. Furthermore, the UK has seen one the biggest slowdowns, from a 2.5% per annum average growth rate from 1971-2007 to 0.1% between 2008-2016. To read PwC's news release go to http://www.pwc.co.uk/press-room/press-releases/encouraging-economic-growth-in-UK-and-across-G7-but-productivity-levels-still-lagging.html.

UK manufactured goods are in demand: strong domestic and export performance. The latest quarterly CBI Industrial Trends Survey has reported that UK manufacturers reported strong growth in orders both at home and from abroad over the first quarter of 2017. In the three months to April, domestic orders improved at the fastest pace since July 2014 and export orders, supported by a strong rise in competitiveness -particularly in non-EU markets which improved at a record pace, recorded the strongest growth in six years. Rain Newton-Smith, CBI Chief Economist, said: “Exports have surged and firms are at their most optimistic about selling overseas in over four decades. Even so, the combination of the weak pound and recovering commodity prices means that cost pressures continue to build, and manufacturers report no sign of them abating over the near-term.” To read the CBI's news release go to http://www.cbi.org.uk/news/uk-manufactured-goods-in-demand-with-strong-domestic-and-export-performance/.

Subdued UK GDP growth over the next couple of years. The National Institute of Economic and Social Research (NIESR) has published a news release which advises that its most recent estimates of UK GDP suggest that output grew by 0.2% in the three months ending in April 2017 (0.3% in the three months ending in March 2017). NIESR currently predicts GDP growth of 1.7% in 2017 and 1.9% in 2018. Simon Kirby, Head of Macroeconomic Modelling and Forecasting at NIESR commented: “GDP growth over the next couple of years will be subdued, growing at less than the economy's long-run potential rate of 2% per annum, but households will feel the pinch from rising consumer price inflation. The rate of inflation is expected to rise from 2.3% per annum in March to almost 3½% by the end of 2017. By 2018 we expect consumer spending growth to have effectively stalled." To read NIESR's news release go to http://www.niesr.ac.uk/media/niesr-press-release-uk-gdp-expected-grow-17-year-and-19-2018-12878#.WRSnoNLyuUn.

Economists remain optimistic about US retail sales. Research by Fung Global Retail & Technology has found that total US retail sales for March decreased by 0.2% month-on-month and amounted to US$470.8 billion. The decline was larger than economists’ consensus estimate of a 0.1% drop. Nonetheless, sales at electronics and appliance stores increased by 2.6% (the largest gain since June 2015), apparel stores’ sales jumped 1% ( the biggest increase since February 2016) and e-commerce sales continued their trend of double-digit growth - rising by 11.9% year over year in March. On a year-over-year basis in March, total retail sales increased by 5.2%. Economists remain optimistic about the big picture, citing a strong job market and healthy household balance sheets as indicators that consumer spending is likely to rebound. To read Fung Global Retail & Technology's news release go to https://fungglobalretailtech.com/news/march-2017-us-retail-sales-traffic/.

Local UK councils still take up to 38 days to pay suppliers. New research by the Asset Based Finance Association (ABFA) indicates that the slowest paying local UK councils took on average 38 days to pay their suppliers last year. Both Peterborough and East Renfrewshire take on average 38 days to pay suppliers, while Richmond upon Thames takes an average of 36 days. This is despite requirements announced in the 2015 Budget, stating that Government departments must report their performance against payment targets quarterly. To read the ABFA's news release go to http://www.abfa.org.uk/news/143/Local-councils-still-take-up-to-38-days-to-pay-suppliers.

New rights for UK policyholders to claim late payment damages. Marsh has published a paper which examines the impact of The Enterprise Act 2016 which came into force in the UK on 4 May 2017. The new Act enables policyholders to claim damages in the event of late payment of claims and applies to any (re)insurance policy placed or renewed on or after that date. The Act allows a 'reasonable time' for insurers to investigate and assess the claim - although the definition of a 'reasonable time' period is unspecified and will depend on the relevant circumstances. The paper also considers whether the new act will result in a flood of successful litigation against insurers. To see Marsh's paper go to https://www.marsh.com/content/dam/marsh/Documents/PDF/UK-en/Enterprise%20Act%20Adviser.pdf.

A new high in UK manufacturing business confidence. According to the latest results (Q1 2017) from the UK’s Credit Managers’ Index (CMI), the manufacturing sector is acting as the primary driving force behind business confidence in the UK. The Index – which is the quarterly barometer of the Chartered Institute of Credit Management (CICM) – also reports a reduction in market volatility with overall confidence and business growth in both the manufacturing and services sectors remaining high. The 1.5-point rise experienced in manufacturing sees it close at 62.7, an all-time CMI high. The result also represents a 3.7-point year-on-year rise and the second successive quarter that the sector has improved. To read CICM's news release go to http://www.cicm.com/manufacturing-hammers-new-highs-uk-business-confidence/.

Career Opportunities

Opportunity of the Month

Account Handler, Howden Group UK Ltd.
Supports the account executives (& others in the client services team), to deliver an excellent and comprehensive service in the administration of new business, renewal and mid-term changes so that customers’ needs are best satisfied through suitable cover and pricing.

Key Responsibilities / Accountabilities

Account ownership
Maintaining group retention rates
Technical duties (including data entry, chasing subjectivities & negotiating terms with insurers and Client Managers)
Ensure up to date records are maintained at all times on the Company systems
Assist in planning the most appropriate insurance programme for the client’s demands and needs

Skills and abilities needed to perform role

Numerate and literate
Good communication and interpersonal skills including, written, verbal and face to face
Able to work independently and use initiative
Negotiation and influencing skills (able to sell)
Computer literate
Resilient and calm under pressure
Analytical and able to solve problems
Able to work flexibly to achieve tight deadlines/targets
Able to positively react to change
Highly organised, with good planning/time management skills
An attention to detail
An ability to learn
Team player, networks and able to build sustainable relationships

Knowledge and Experience

Understanding general & legal principles of insurance
Understanding of London market operations
Specific product(s) knowledge and understanding of related wordings
Understanding of clients’ professional bodies’ standards
Good understanding of relevant regulatory and legal frameworks
Good understanding of company objectives and how own role contributes to these
Knowledge of the market within which the company operates including an awareness of competitors, specific territory knowledge, cultural awareness.
Specific systems’ knowledge relevant to role

Compliance & Regulatory Responsibilities

Ensure compliance with all applicable Company and/or Group policies and procedures
Ensure correct authorisation is obtained and processes followed when required by the Company and /or Group policies and procedures.
Ensure compliance with legal and regulatory requirements
Ensure that own performance, HR and T&C records are up to date and meet the Company and/or Group’s requirements
Maintain accurate records and deal with correspondence appropriately
Ensure compliance with Anti Bribery and Corruption policy and procedures

Experience / Qualifications

Some relevant experience (e.g. in junior account handler or technician role is desirable. Senior Account Handler's or Account Executive Skillset (desirable).
Some experience of working within an office environment
GCSE Maths and English (or equivalent)
A levels (desirable)
Attainment of the LLMIT (the Lloyd's and London Market Introductory Test)
Working towards or has attained ACII.

To apply for this position please email a CV to recruitment@hyperiongrp.com.

(Please mention that you saw this vacancy on Credit Insurance News' Job Board)

Forthcoming Events

Australia Trade Forum, 29 May 2017. Sydney.
Capitalise on exciting new opportunities for trade and investment in Australia, while meeting with leading representatives all in one day. Delegates can receive 6 PDCs for attending this event. A corporate-focused gathering bringing together all sectors involved in international trade, the event will report on developments in global markets and their impact on Australian trade, and explore what the future may hold for Australia’s corporates and exporters. Returning to Sydney for its fourth year, GTR’s annual gathering in Australia has evolved into the Australia Trade Forum for 2017. Five main themes for discussion: Australia’s current and future trade & investment landscape; Current challenges and opportunities for trade finance, treasury, supply chain and procurement; Digitisation across the finance sector; Commodity trade and financing; Infrastructure financing.
The event will provide maximum audience interaction with live polling, active debates and several stream options, allowing attendees to select their preferred structure. 2017’s conference will be an ideal opportunity to establish new relationships with those currently doing business in the country, bypassing the need to set up countless meetings over several days, and saving time and money. Click here to register or for more information. A 15% discount is available for readers with code CIN15.

TXF Venice 2017: The Global Borrower’s Summit , 7-9 June. Hilton Molino Stucky Hotel, Venice Italy.

Government ministers, DFI leaders, CEOS and captains of industry will gather in Venice for TXF’s annual flagship European conference covering project, infrastructure, export & agency finance. Situated in the heartland of European exporters, Venice is a dynamic and historic financial hub.
Using the latest data and analysis, experts will discuss the trends of 2017 and how industry players can maintain their relevance in the market. Topics include the role of technology in project financing, ways in which DFIs have increased private debt market liquidity and political risk forecast. The agenda contains innovative workshops, idea-labs and debates, dedicated sessions on Italian export finance, and sector & regional breakdowns.

Last year’s instalment in Rome welcomed over 700 guests from 130 international companies. For 2017, the event is expanding to include an additional day and an expected guest list of 1000 industry professionals. The conference will also host a Gala Dinner, which brings leaders together for an evening of entertainment. Guests can join a host of other intimate networking opportunities.

To find out more information or register, please click here. Please note readers of Credit Insurance News will receive 10% of the ticket price with code CIN17sub.

7th Annual Africa Insurance & Reinsurance Conference, 21-22 June, Nairobi.
Conference theme: Road map for insurance inclusion and penetration.

Africa continues to offer significant potential for future investment. Sustainable economic expansion and demographic transformation are making the insurance market more attractive, particularly in Sub-Saharan Africa. As the industry rides the wave of growth in this second fastest growing region in the World, the scale of opportunity is compelling. Low market penetration is giving way to rising consumer demand and new technologies. In this shifting landscape, is organic growth a greater priority than mergers and acquisitions (M&A) or new products. For more information or to register for conference go to http://aidembs.com/.

GTR Asia Trade & Treasury Week 2017, 5-7 September. Singapore.
Global Trade Review, bringing the trade and treasury community together for well over a decade, will return to Singapore on September 5-7, 2017 for the award-winning conference series, GTR Asia Trade & Treasury Week. Building on its world-renowned reputation as the largest and most popular trade finance gathering anywhere in the world, the conference will provide an effective and impartial marketplace for all involved in trade, commodity and export finance, to gather for lively debate, networking and timely discussion. Offering a first-class business environment based in the heart of Asian trade routes, Singapore is an ideal location in which to find top-level trade and treasury specialists and global business leaders. Attendance figures are expected to exceed the 900 plus delegates of 2016’s event, making this an essential place to be for anyone involved in international trade and treasury. Click here to register or for more information. A 15% discount is available for readers with code CIN15.

Indonesia Trade & Commodity Finance Conference, 5 October. Jakarta.
GTR will return to Jakarta in October to provide an update on the domestic economy and an outline of the trade challenges which lie ahead. The Indonesia Trade & Commodity Finance Conference in Jakarta is the premier platform for trade and commodity experts, domestic and international, to gather for a day of discussion, debate and networking. Dedicated networking breaks throughout the conference will give delegates the chance to gather new leads and become reacquainted with peers. Save travel, time and money by attending, and meet the largest names in the trade & commodity markets all under one roof. Click here to register or for more information. A 15% discount is available for readers with code CIN15.

Receivables Finance Masterclass, October 2017. London.

Attend this advanced and comprehensive Masterclass to gain a deeper understanding of the latest receivables purchase structures, risk and legal constraints. Covering factoring, supply chain finance and forfaiting, the Masterclass enables participants to realise the value of future receivables, implement more profitable purchasing arrangements, mitigate risk, gain added value through supply chain financing, optimise insurance and reduce costs.
BCR are delighted to offer Credit Insurance News members a 10% discount on booking. Register now using code CIN17 at www.bcrconferences.com.

Alternative and Receivables Finance Forum 16 November 2017. London.
BCR’s Alternative & Receivables Finance Forum has been tracking the revolution in receivables and invoice finance for the last 4 years. This is a unique gathering, where you can network with established receivables finance providers and ‘alternative’ SME funders and find out how the competitive landscape for commercial finance is changing. The comprehensive programme provides insights into the priorities influencing SMEs’ financial choices and showcases the latest technology-enabled distribution models. Come to A&RF 2017 to engage in the debate and help define the future of working capital finance.
BCR are delighted to offer Credit Insurance News members a 10% discount on booking. Register now using code CIN17 at www.bcrconferences.com.

About this Issue's Sponsor: CBF

Founded in 2000, Credit & Business Finance (CBF) quickly gained a top position in the UK Independent Broking League for Trade Risk Solutions, thanks to a focus on new business development – supported by a dedicated team providing specialist technical expertise.
Offering impartial advice and qualified guidance on Credit Insurance and risk mitigation to businesses in the UK and Ireland, CBF enables its clients to trade confidently in any economic climate, by providing access to the latest risk assessment and protection tools. Not only are policies tailored to clients’ specific business objectives, strategy and risk philosophy, but the company’s varied sector-specific knowledge offers optimum value to many different types of business. CBF is well-known for its success rates in claims payments and increasing Credit Limits, while its portfolio of credit management options supports finance opportunities as well as improving credit control procedures.

The company’s status as one of the industry’s leading lights has recently been confirmed with a prestigious award win – CBF was named Credit Insurance Specialist of the Year at the Chartered Institute of Credit Management Awards 2017.

In addition, CBF was instrumental in founding the Global Trade Credit Alliance (GTCA), which provides credit insurance specifically for multinationals. This international network of specialists, accessible through CBF, offers tailored policies for subsidiary companies, delivering all the benefits of specific local knowledge along with the ease, efficiency and cost-effectiveness of a single point of contact provided in each country.

To find out more about CBF, call 01279 722555 or email info@cbfb.co.uk.

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